MUMBAI (Commodity Online): Sideways trend prevailed for Guar in the markets as traders are waiting for exports to pick up. Reports of improved demand at the lower levels continued. As per traders, rates have fallen significantly for the commodity over the past few weeks and they expect the demand – both domestic and exports to recover in coming weeks.
Slight firmness has been reported for Dollar rates vs Re and that can provide the impetus on the export front. There are expectations of export demand rising in coming days.
Start trading in commodities from as low as $50. Join nowLower production, low arrivals and expected rise in exports at the lower levels are however expected to provide some support to the prices.
The arrivals of the new crop are likely to have some bearish impact on the rates. Even though production this year is expected to be low, higher carryover stock from last year (due to low exports) can nullify the low production aspects. Reports indicate however, stockists would be unwilling to sell at lower levels.
Courtesy: Religare Commodities
